Asda has unveiled plans for a “transformational” mixed-use redevelopment of its ten-acre site in northwest London, which is currently home to its Park Royal superstore.

The retailer has partnered with property developer Barratt London on the proposal, which is subject to planning approval, and includes creating a new town centre for the local community at the Old Oak and Park Royal Development Corporation major regeneration area.

It will feature a new 60,000 sq ft flagship Asda superstore with up to 400 car parking spaces for customers, while up to 1,500 new homes are planned, 500 of which will be provided as affordable.

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

Asda said the scheme will also provide significant biodiversity and ecology net gains, with the use of public transport encouraged at the proposed car-free residential development while the grocer’s car park will feature new EV parking spaces.

The mixed-use redevelopment of an established store site marks a first for Asda and represents one of the largest land deals of the last couple of years.

The plans would also enable complementary businesses associated with a new town centre to open new retail units, restaurants, health and wellness facilities, and high-quality public realm space.

Asda’s existing Park Royal superstore would remain fully open and continue to serve the local community whilst work was carried out on the new store development.

Asda head of mixed-use developments Ian Lawrence said: “Asda’s venture into mixed-use property re-development marks a significant milestone for the business. By working with leading developers like Barratt London, we are able to maximise the full potential of our property portfolio for the first time.”

“This allows us the opportunity to better serve local communities like Park Royal, with a new flagship store fit for the future, whilst creating windfall sites for housing delivery.

“We are also unlocking further opportunities to release value from our extensive property portfolio, which can be reinvested back into the business to fund other initiatives and support our long-term growth ambition to become the UK’s second largest supermarket chain.”

Work on the planning application for the deal is underway and will be submitted later this year to the relevant bodies.